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Australian general practice market: frequently asked questions

By Kate Marie, principal, Medius Global

Australian general practice runs about 7,135 accredited practices and a workforce of 40,375 GPs, delivering more than 172 million consultations a year. The sector is consolidating, with about 23% of sites now under corporate or group ownership. Bulk billing has risen since the BBPIP began in November 2025. Workforce supply, funding reform and ownership structure will shape the next five years. Figures below are drawn from the Medius Global GP landscape report, June 2026.

How much of Australian general practice is corporate or group owned?

About 23% of general practice sites are under corporate or group ownership. Medius Global research identifies 234 operators managing 1,706 sites, current to June 2026, against a national base of roughly 7,135 to 7,500 practices. Consolidation continues, driven by owners exiting at retirement, rising compliance burden and the capital cost of modern practice infrastructure.

Further reading: The Australian general practice landscape report

How big is the Australian general practice sector?

Total health expenditure reached $270.5 billion in 2023-24, or 10.1% of GDP. Primary health care accounted for $89.1 billion, about 33% of that total. Unreferred medical services, primarily general practice, made up $14.6 billion, with Australian Government funding of $11.5 billion. General practice delivers more than 172 million consultations a year.

Further reading: The Australian general practice landscape report

How many GPs are there in Australia, and how many plan to leave?

The GP workforce is about 40,375 practitioners, of whom 80.7% are vocationally registered and 15.4% are in training. Around one in three intend to stop practising within five years. The effect is concentrated in regional and remote areas, where replacement pipelines are weakest and training a new GP can take 10 to 12 years.

Further reading: The Australian general practice landscape report

How is the GP workforce changing?

The workforce is increasingly part-time, female and reliant on international medical graduates. About 48.1% are female and 41.4% trained overseas. Capacity calculations built around a full-time, predominantly male model overstate available supply. Retention measures that cut administrative burden and improve leave cover act faster than training-pipeline expansion, which takes 10 to 12 years to produce a practising GP.

Further reading: The Australian general practice landscape report

What is the BBPIP, and how has it changed bulk billing?

The Bulk Billing Practice Incentive Program began on 1 November 2025. It pays a 12.5% loading on MBS fees to practices that bulk bill 100% of eligible items. Bulk billing reached 81.4% of consultations between November 2025 and January 2026, up 4.3 percentage points year on year. The program has sharpened the choice between full bulk billing and mixed billing.

Further reading: Beyond Medicare - revenue models and opportunities in Australian general practice

What are patients paying out of pocket for GP care?

Patient out-of-pocket costs for GP services more than doubled, from $780 million in 2021-22 to $1.66 billion in 2023-24. By 2023-24, 84% of Australians had at least one Medicare-subsidised GP attendance, down from higher levels during the COVID-19 period. The BBPIP has since lifted bulk billing, which changes the out-of-pocket trajectory from late 2025.

Further reading: The Australian general practice landscape report

How is general practice funded, and what reform is under discussion?

Most practice revenue comes from Medicare rebates, with limited extra funding through incentive programs such as the PIP and WIP. Medicare fee-for-service rewards consultation volume, not complexity. Blended payment models, combining capitation, pay-for-performance and fee-for-service, are under policy discussion, but no legislation or funding commitment exists as of June 2026.

Further reading: The Australian general practice landscape report

How widely is telehealth used in Australian general practice?

Telehealth accounted for about 20% of Medicare-funded GP services in 2022-23. Most of that is telephone, with video under 5% of telehealth. The infrastructure is established but underused beyond phone consultations. The clearest gains are in areas with GP shortages, where virtual care extends the reach of existing practitioners rather than replacing face-to-face care.

Further reading: The Australian general practice landscape report

What revenue options exist beyond Medicare fee-for-service?

Practices diversify through subspecialty streams such as skin cancer medicine, women's health, aesthetic medicine and weight management, through employer and corporate health contracts, and through aged care work under the GPACI. Subscription or direct primary care models are tightly constrained by the Health Insurance Act 1973. From 1 July 2025, GPCCMP items replaced Team Care Arrangements for chronic disease management.

Further reading: Beyond Medicare - revenue models and opportunities in Australian general practice

What should an investor understand about consolidation in general practice?

Corporate and group operators control about 23% of sites, across 234 operators managing 1,706 practices. The acquisition case rests on economies of scale in procurement, compliance, recruitment and back-office functions. The main risks are GP retention after acquisition, since practices bought for scale can lose revenue when experienced GPs leave, and the unsettled regulatory position on contractor versus employee classification.

Further reading: The Australian general practice landscape report